Oak Forest May Seek Referendum to Lower Electricity Rates

Oak Forest is trying to lower its electric rates for the upcoming year, and a referendum just may be the start of getting the job done.

A proposed referendum will ask residents for approval to aggregate, or bundle, the city’s electric services to help lower electricity rates for residents and small businesses in Oak Forest. Public Works Director Troy Ishler explained that the City of Oak Forest has aggregated its electric for all of the city’s buildings and work stations the past four years. Mayor Hank Kuspa and  discussed the idea during a Committee of the Whole meeting preceding the Dec. 13 council meeting.

“In 2008, we saved $14,000. In 2010, we saved $19,000,” he said.

Ishler also explained that this past year the city signed a three-year contract with an outside provider, which saves the city $15,000 a year, or $45,000 in the next three years.

In order for the city to aggregate electricity for residents and small businesses, residents must vote in favor of the referendum, Ishler explained, but he also noted that if the referendum is passed residents can still opt out of the aggregation and continue to receive electricity delivered by ComEd.

On the other hand, if the referendum is not passed, he said, the city should still educate the public on an “opt-in program,” which gives residents the chance to opt-in to a plan with a different electric supply company.

In order to place the referendum on the March ballot, aldermen will have to approve the ordinance before Jan. 3, Ishler said, which means the city council will have to work swiftly.

In a show of hands, all aldermen said they would like to move on with considering the referendum. Aldermen may propose an ordinance as early as next week, Dec. 20.

, and are also considering aggregated electricity.